The Canada Infrastructure Bank (CIB) is committing up to $400-million in the City of Ottawa's plan to adopt 450 zero-emission buses by 2027.
The CIB says the announcement, Monday, June 7, supports the largest conversion of public transit vehicles in Canada to date. The Government of Canada’s goal is to eventually have 5,000 zer-emission buses (ZEBs) on Canadian streets.
The City of Ottawa is set to release a report, Zero-Emission Buses for OC Transpo, to be considered by the Transit Commission on June 16, 2021, requesting approval from Ottawa City Council to enter into an agreement with the Canada Infrastructure Bank (CIB). As part of the City’s 2022 capital budget, OC Transpo will recommend purchasing 74 40-foot battery-electric buses and the required charging infrastructure, for entry into service in 2023.
The CIB’s loan will cover the higher up-front capital costs of ZEBs compared to diesel buses, helping to accelerate the electrification of the city’s bus fleet. The city says financial savings are estimated to be substantial, as lifetime operating costs for ZEBs could be as much as 35 per cent lower than diesel buses.
Energy supply and charging infrastructure for the proposed transition will be supplied through an agreement with Hydro Ottawa.
The city says the electrification of vehicles is a key initiative in helping it reach its goal of reducing greenhouse gas emissions in city operations by 100 percent by 2040. Each battery-electric bus will provide a savings of 35,000 litres of fuel every year, which is the annual consumption of a conventional diesel-powered bus.
Today, we announced an important partnership with the Government of Canada to green @OC_Transpo’s bus fleet over the coming years. This will see 74 new electric buses on our streets by 2023, 450 by 2027, and the full electrification of the fleet by 2036 1/2 pic.twitter.com/8TWEsdoTOR— Jim Watson (@JimWatsonOttawa) June 7, 2021
"Cleaner air, quieter streets, and a planet safe for our kids - that’s the goal," says Catherine McKenna, minister of infrastructure and communities.
Monday's CIB announcement is part of $1.5-billion its spending on zero-emission bus initiatives, assisting transit agencies and school bus operators across Canada transition their fleets to modern, environmentally friendly vehicles.